DA Davidson Reaffirms Neutral Rating for Nebius Group (NASDAQ:NBIS)

Nebius Group (NASDAQ:NBIS)‘s stock had its “neutral” rating reissued by research analysts at DA Davidson in a research note issued on Thursday,Benzinga reports. They currently have a $175.00 target price on the stock. DA Davidson’s target price would indicate a potential downside of 32.48% from the company’s previous close.

Other analysts have also issued reports about the stock. Morgan Stanley increased their price target on shares of Nebius Group from $126.00 to $144.00 and gave the company an “equal weight” rating in a research report on Thursday, May 14th. Weiss Ratings downgraded shares of Nebius Group from a “hold (c)” rating to a “hold (c-)” rating in a research report on Tuesday. Piper Sandler initiated coverage on shares of Nebius Group in a research note on Monday, August 3rd. They set a “neutral” rating and a $224.00 price objective for the company. Zacks Research cut shares of Nebius Group from a “strong-buy” rating to a “hold” rating in a research report on Friday, July 31st. Finally, Citizens Jmp raised their target price on shares of Nebius Group from $175.00 to $270.00 and gave the company a “market outperform” rating in a research note on Thursday, May 14th. One investment analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating and seven have assigned a Hold rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $222.71.

Nebius Group Trading Up 34.1%

NBIS opened at $259.20 on Thursday. The firm has a market cap of $65.58 billion, a price-to-earnings ratio of 83.61 and a beta of 4.23. The company has a current ratio of 8.33, a quick ratio of 8.33 and a debt-to-equity ratio of 1.16. Nebius Group has a 12 month low of $62.01 and a 12 month high of $299.86. The stock has a fifty day moving average price of $221.63 and a 200-day moving average price of $166.23.

Nebius Group (NASDAQ:NBIS) last issued its quarterly earnings data on Thursday, May 14th. The company reported ($0.23) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.81) by $0.58. Nebius Group had a negative return on equity of 9.11% and a net margin of 95.27%.The company had revenue of $399.00 million for the quarter, compared to the consensus estimate of $375.13 million. The company’s revenue was up 684.0% on a year-over-year basis. As a group, equities research analysts anticipate that Nebius Group will post -3.91 earnings per share for the current fiscal year.

Insider Transactions at Nebius Group

In other Nebius Group news, insider Andrey Korolenko sold 33,871 shares of the company’s stock in a transaction on Wednesday, July 1st. The shares were sold at an average price of $235.45, for a total value of $7,974,926.95. Following the sale, the insider directly owned 551,338 shares of the company’s stock, valued at approximately $129,812,532.10. This represents a 5.79% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CTO Danila Shtan sold 16,937 shares of the company’s stock in a transaction on Wednesday, July 1st. The shares were sold at an average price of $235.45, for a total transaction of $3,987,816.65. Following the completion of the sale, the chief technology officer directly owned 274,763 shares in the company, valued at approximately $64,692,948.35. The trade was a 5.81% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 140,810 shares of company stock valued at $33,548,588.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the company. Zurcher Kantonalbank Zurich Cantonalbank raised its stake in shares of Nebius Group by 34,371.3% in the 4th quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 93,762 shares of the company’s stock valued at $7,848,000 after acquiring an additional 93,490 shares during the period. Sumitomo Mitsui Trust Group Inc. purchased a new position in shares of Nebius Group during the 4th quarter worth approximately $24,756,000. Lombard Odier Asset Management Switzerland SA purchased a new position in shares of Nebius Group during the 1st quarter worth approximately $1,087,000. Geode Capital Management LLC increased its holdings in Nebius Group by 1,095.7% in the 4th quarter. Geode Capital Management LLC now owns 2,046,799 shares of the company’s stock valued at $169,840,000 after purchasing an additional 1,875,612 shares during the last quarter. Finally, HB Wealth Management LLC acquired a new stake in Nebius Group in the 1st quarter valued at approximately $735,000. Institutional investors and hedge funds own 21.90% of the company’s stock.

Key Nebius Group News

Here are the key news stories impacting Nebius Group this week:

• Positive Sentiment: Exceptional Q2 growth exceeded revenue expectations. Revenue reached $582.3 million, up 454% year over year and above consensus estimates. The core AI cloud business grew more than 500%, reflecting strong demand, larger contracts and higher pricing for computing capacity. Reuters report on Nebius revenue growth
• Positive Sentiment: Profitability and backlog indicators strengthened the bull case. Management highlighted $236 million of positive adjusted EBITDA, approximately $3 billion in annualized recurring revenue, expanding contracted power guidance to 5 gigawatts and roughly $40 million of annual contract value per megawatt. These figures suggest Nebius is converting its AI infrastructure backlog into revenue and cash flow. Seeking Alpha Q2 analysis
• Positive Sentiment: Short-covering and AI-sector momentum amplified the move. Michael Burry disclosed a short position near $212 per share, but the stock moved above $250 after the earnings release, potentially pressuring short sellers to cover. Renewed enthusiasm for AI data-center and neocloud stocks also provided a favorable sector backdrop. Fool report on Michael Burry’s Nebius short
• Neutral Sentiment: Analyst and technical signals are mixed. The shares reclaimed their 50-day moving average and technical analysts identified upside potential, but the median recent analyst target is about $250, implying limited upside after the rally. Reports also differ on the precise quarterly EPS result, although Nebius remained loss-making.
• Negative Sentiment: Full-year revenue guidance may disappoint. Nebius forecast 2026 revenue of $3.0 billion to $3.4 billion, with the top end only matching consensus, raising concerns that rapid expansion may already be reflected in the valuation.
• Negative Sentiment: Execution, valuation and insider-selling risks remain. Analysts have questioned delays at the Vineland data-center project and the ability to deliver a large capital-expansion plan on schedule. Nebius trades at elevated valuation multiples, while reported insider activity shows repeated selling and no purchases in the past six months. These factors likely contributed to the overnight retreat after the earnings-driven surge.

About Nebius Group

Nebius Group N.V., a technology company, builds intelligent products and services powered by machine learning and other technologies to help consumers and businesses navigate the online and offline world. The company’s services include Nebius AI, an AI-centric cloud platform that offers infrastructure and computing capability for AI deployment and machine-learning oriented solutions; and Toloka AI that offers generative AI (GenAI) solutions at every stage of the GenAI lifecycle, such as data annotation and generation, model training and fine-tuning, and quality assessment of large language model for accuracy and reliability.